Certified under NPA Order M-78 Such an order shall constitute an authorized controlled material order when signed as provided in NPA Reg. 2. The certification shall serve as a representation to the supplier and to NPA and DMA that the producer is authorized under the provisions of this order to obtain the controlled materials covered by the authorized controlled material order. (b) A producer placing a delivery order for products or materials other than controlled materials for MRO or minor capital additions shall indicate on each delivery order the rating and allotment symbol DO-H-6 together with the words: Certified under NPA Crder M-78 and shall sign the order as provided in NPA Reg 2. Such certification shall constitute a representation to the supplier and to NPA and DMA that the producer is authorized under the provisions of this order to obtain the products or materials other than controlled materials indicated in the delivery order. SEC. 15. Major capital additions. (a) For the present, priority assistance in obtaining major capital additions will be limited. However, a producer may apply to DMA for assistance in obtaining Class B products listed in the Official CMP Class B Product List consisting of machinery and equipment comprising major capital additions. Application shall be made by letter giving the following information: (1) With respect to producers holding serial numbers assigned under Mineral Order 7: Give serial number and: (i) Description of machinery and equipment required; (ii) manufacturer, or supplier, model, purchase order number (if any), required delivery date, and approximate dollar value; (iii) need for machinery or equipment and expected results. (2) With respect to producers not holding serial numbers: (i) The information under subparagraph (1) of this section; (ii) description of property (location, pertinent facts regarding ore body); and (iii) production in 1950 and current rate of production. (b) Such an application, when approved by DMA and NPA, will authorize the producer to place on his delivery order therefor the rating and allotment symbol "DO-H-6," together with the words: Certified under NPA Order M-78 Such certification shall be signed as provided in NPA Reg. 2. This certification shall constitute a representation to the supplier and to NPA and DMA that the producer is authorized under the provisions of this order to obtain the major capital additions indicated in the delivery order. SEC. 16. Application by foreign producers. (a) The provisions of this order include and apply to foreign producers as defined in this order (excepting producers in Canada who may obtain priorities assistance pursuant to other NPA regulations and orders). Producers whose operations are located in countries in which the Economic Cooperation Administration maintains a program shall file their application through the Economic Cooperation Administration. Producers whose operations are located in other countries (excepting Canada) shall file their application through the Office of International Trade. Nothing in this order shall be deemed to supersede any export licensing requirement of the Office of International Trade. (b) Applications of foreign producers for MRO and minor capital additions shall be filed on DMA Form MF-400. (c) The allotment symbol W-4 shall be used on all delivery orders for controlled material and the DO-W-4 rating shall be used on all delivery orders for products and materials other than controlled material placed pursuant to this order by foreign producers located in ECA countries; the allotment symbol W-2 shall be used on all delivery orders for controlled material, and the DO-W-2 rating shall be used on all delivery orders for products and materials other than controlled materials placed pursuant to this order by foreign producers located in other than ECA countries (except Canada). In all cases the delivery order shall also contain the certification specified in section 14 of this order. SEC. 17. Records and reports-(a) Records to be kept. Each producer who makes any use of the allotment symbol or the DO rating pursuant to this order shall make and preserve, for at least 2 years, accurate and complete records showing what his quarterly MRO quotas are; how he computed them; the factual 82354-52 -52 justification for them and for corrections or revisions thereof; any elections made as to the use of seasonal quotas; methods of figuring quotas and charges against them, or other options exercised; all materials ordered or received for use as MRO or minor capital additions, whether or not by use of the allotment symbol or rating; and all other relevant data, in sufficient detail to permit an audit that determines for each transaction that the provisions of this order have been met. This does not specify any particular accounting method and does not require alteration of the system of records customarily maintained, provided such records disclose the above data and supply an adequate basis for audit. Records may be retained in the form of microfilm or other photographic copies instead of the originals. (b) Inspection and audit. All records required by this order shall be made available at the usual place of business where maintained for inspection and audit by duly authorized representatives of NPA. (c) Other records and reports. Persons subject to this order shall make such further reports to NPA as it shall require, subject to the terms of the Federal Reports Act of 1942 (5 U. S. C. 139-139F). SEC. 18. Communications. Except as provided in section 16 of this order, all communications concerning this order, including applications for exceptions or quota adjustments, shall be addressed to Defense Minerals Administration, Department of the Interior, Washington 25, D. C. SEC. 19. Violations. Any person who wilfully violates any provision of this order or who wilfully conceals a material fact or furnishes false information in the course of operation under this order is guilty of a crime and upon conviction, may be punished by fine or imprisonment or both. In addition, administrative action may be taken against any such person to suspend his privilege of making or receiving further deliveries of materials or using facilities under priority or allocation control and to deprive him of further priorities assistance. NOTE: All reporting and record-keeping requirements of this order have been approved by the Bureau of the Budget in accordance with the Federal Reports Act of 1942. This order shall take effect on August 6, 1951. NATIONAL PRODUCTION AUTHORITY, EXHIBIT 55 NPA PRESS RELEASE ON AMENDMENT NO. 1 TO ORDER M-78-MINING MRO SUPPLIES UNITED STATES DEPARTMENT OF COMMERCE Three administrative corrections to Order M-78, which covers maintenance, repair, and operating (MRO) supplies and capital additions for the mining industry, were made today by the National Production Authority, United States Department of Commerce. These corrections were embodied in Amendment 1 to M-78. The first affects the definitions of "maintenance" and "repair." The amendment changes the definitions to make them conform with the definitions of these two words in CMP Regulation 5. The second change concerning the limit of $10,000 for the establishment of the MRO quota-is intended to make the wording of the order consistent. Actual operation of the order, however, is not affected. The third change withdraws the authority of producers to use DO ratings to purchase chemicals and reagents as provided in the original order. Sulfuric acid is already under allocation in 11 Western States, NPA pointed out. If it becomes too difficult for the mining industry to obtain chemicals and reagents without the use of a priority rating, NPA said it would give further consideration to the matter. The new provisions affecting the authority to use DO priorities to acquire rails and track accessories simply reaffirm the authority which producers had under the order as previously issued, NPA said. NPA also pointed out that grinding balls, widely used in the industry, are class B products and the symbol DO-H-6 should be used in ordering this item. On the other hand, rings, liners and rods are considered controlled materials and the allotment symbol H-6 must be used in ordering these. Some companies affected by this order have gained the impression, NPA said, that they may not order controlled materials for MRO purposes under the order. This is not so. Purchase orders issued under M-78 for controlled materials are valid self-certified orders even though no specific allotment of controlled materials has been made to each company. Companies, however, must stay within their MRO quotas of materials as established under the order. Confusion also seems to exist among some mining companies about two other provisions of the original order, NPA said. The first is the reporting requirement. The only companies who need to report their MRO base quota to the Government under M-78 are those companies which are new in the business and have no historical record of operation during the base period (generally the calendar year 1950). Certain foreign mines must also report their base period MRO quota. The other point of confusion concerns foreign producers as defined by the order. Such foreign producers operate in exactly the same way as domestic producers and have the right to self-certify their MRO purchases, NPA said. Additional information may be obtained at Department of Commerce field (Text of the amendment is attached.) offices. EXHIBIT 56 AMENDMENT NO. 1 TO NPA ORDER M-78 AMEND. No. 1 To M-78 SEPT. 21, 1951 UNITED STATES DEPARTMENT OF COMMERCE NATIONAL PRODUCTION AUTHORITY CHAPTER VI-NATIONAL PRODUCTION AUTHORITY, DEPARTMENT OF COMMERCE TITLE 32A-NATIONAL DEFENSE, APPENDIX [Amendment No. 1 to NPA Order M-78] M-78-MAINTENANCE, REPAIR, OPERATING SUPPLIES, AND CAPITAL ADDITIONS FOR MINING INDUSTRY This amendment to NPA Order M-78 is found necessary and appropriate to promote the national defense and is issued pursuant to the authority granted by section 101 of the Defense Production Act of 1950, as amended. In the formulation of this amendment, consultation with industry representatives has been rendered impracticable because of the need for immediate action, and unnecessary because this amendment is corrective and administrative in nature. This amendment affects NPA Order M-78 as follows: 1. Paragraph (b) of section 2 is amended to read as follows: (b) "Maintenance" means the minimum upkeep necessary to continue any plant, facility, or equipment in sound working condition, and "repair" means the restoration of any plant, facility, or equipment to sound working condition when it has been rendered unsafe or unfit for service by wear and tear, damage, failure of parts, or the like. Neither "maintenance" nor "repair" includes the replacement or the improvement of any plant, facility, or equipment by replacing material which is still in sound working condition with materials of a new or different kind, quality, or design. 2. Paragraph (a) of section 6 is amended by inserting a period after the word "amended," and by striking out the remainder of the paragraph. 3. Paragraph (c) of section 6 is amended to read as follows: (c) The allotment symbol H-6 to procure rails, and the DO-H-6 to procure track accessories, may not be used by any producer to obtain such items in an amount to exceed the ratio of consumption by weight of these items to his production by weight for the average of the years 1948, 1949, and 1950. The ratio shall be separately calculated for (1) rails and (2) track accessories. 4. Subparagraph (f) (2) of section 7 is amended by striking therefrom the figure "$5,000" and by inserting in its place the figure "$10,000.” 5. Subparagraph (f) (3) of section 7 is amended by inserting after “A producer" the words "except foreign producers"; and by striking from the subparagraph the words "this section" and by inserting in their place the words "paragraph (f) of this section." (Sec. 704, 64 Stat. 816, as amended; 50 U. S. C. App. Sup. 2154. Interpret or apply sec. 101, 64 Stat. 799, as amended; 50 U. S. C. App. Sup. 2071; sec. 101, E. O. 10161, Sept. 9, 1950, 15 F. R. 6105; 3 CFR, 1950 Sup. ; sec. 2, E. Ó. 10200, Jan. 3, 1951, 16 F. R. 61) This amendment shall take effect on September 21, 1951. NATIONAL PRODUCTION AUTHORITY, Recording Secretary. EXHIBIT 57 DMA FORM (MF 400)—APPLICATION FOR QUOTA ADJUSTMENT FOR MAINTENANCE, REPAIR, AND OPERATING SUPPLIES Above should be entered the business name and address, identification, and physical location of the operating unit covered by this report. PLEASE INCLUDE THIS INFORMATION ON EACH COPY OF THE COMPLETED REPORT AND EACH ATTACHMENT THERETO. If there are additional operations covered by this report please list them on an attachment to each copy prepared. If there is a central office different from the office preparing this report, also furnish its name and address. This form is for use by mineral producers in applying for adjustment of maintenance, repair, and operating supply quotas established under NPA Order M-78. Domestic producers prepare an original and three (3) copies of this form including all required attachments. Mail to the Defense Minerals Administration, Interior Building, Washington 25, D.C., Attention: Requirements Division. Producers located in countries or areas for which the Economic Cooperation Administration is the Claimant Agency, prepare an original and (5) copies including all required attachments. These copies should be filed by your United States Agent with the Economic Cooperation Administration, Washington 25, D.C., Attention: Program Secretary. All other foreign producers prepare an original and three (3) copies including all required attachments. Mail to the Office of International Trade, Department of Commerce, Washington 25, D.C. Section 1. Type of Operation(s). Euter "X" in applicable blocks of this section. - No. a. Does this report cover more than the one operation listed above? - Yes. |